UPDATE: AutoNation Shares Jump After Strong Q3 Results

Shares of AutoNation

jumped more than 5.5% in pre-market trading after the company reported better-than-expected third-quarter results. The company also increased its share repurchase authorization by $250 million. The Fort Lauderdale, Florida-based company posted quarterly earnings of $106.5 million, or $0.90 per share, compared to $92.6 million, or $0.75 per share, in the year-ago quarter. Its revenue climbed 10% to $4.91 billion. However, analysts were expecting earnings of $0.86 per share on revenue of $4.77 billion. AutoNation's retail new vehicle unit sales climbed 9% overall and gained 7% on a same store basis. However, retail used vehicle unit sales surged 7% overall and rose 6% on a same store basis. Domestic segment income climbed 195 to $77 million, while Import segment income rose 6% to $77 million. Premium Luxury segment income gained 13% to $84 million. During the quarter, the company repurchased 4.4 million shares of common stock for an aggregate purchase price of $235.9 million. Mike Jackson, Chairman and Chief Executive Officer, said, "AutoNation delivered its 16th consecutive quarter of double-digit year-over-year growth in EPS. This quarter we set another record for the highest ever quarterly EPS from continuing operations. As we look to 2015, we expect continued growth in new vehicle unit sales, with 2015 industry new vehicle sales above 17 million units." AutoNation shares climbed 5.79% to $55.00 in pre-market trading.